Benefits firms leverage AI, mobile apps to accelerate tech adoption amid COVID
Amid continuous business continuity disruptions caused by COVID-19, more benefits companies are accelerating their rollouts of digital technology.1 That's according to a recent survey conducted by LIMRA and Boston Consulting Group.
Surveyed executives said digital automation, data science and analytics were the top three essential specialties necessary to advance marketing, distribution and customer experience over the next five years. Additionally, 60 percent of respondents said investments in customer service technologies, modernizing legacy systems, and stopping cybersecurity threats are challenges that need solving to remain competitive.1
A similar survey of insurance company CEOs by KPMG also found the pandemic has fueled the need to create new business models and revenue streams.2 To accelerate tech adoption, many insurance companies partner with so-called insurtechs to develop new tools and models.2 A lot of this developing work has revolved around digitizing contact centers and claims functions.
Many consumers bought groceries or used online payment systems for the first time during the pandemic — and they liked how it worked. “Digital engagement is here to stay; the pandemic changed consumer behavior,” said Forrester Research analyst Kate Leggett. “Ultimately, it's easier, and digital engagement values our time.” 3
To build competitive digital products, benefits companies realize they must lean on a comprehensive stack of technologies, including artificial intelligence (AI), IoT, blockchain and the cloud.4 To remain competitive, companies must launch products that allow customers (employees) to tailor their individual experience — the new norm post-COVID-19.
This is especially true when engaging millennials, a key demographic for most companies. To help fuel millennial interest in benefits and insurance offerings, consider these three tactics:5
- Make it easy: Nearly half of millennials say buying life insurance is too confusing. Regardless of the medium, simplify explanations and options; use price tiers and bulleted lists. Consider using some sort of chat feature to quickly answer questions.
- Prioritize mobile experiences: Millennials have a digital-first lifestyle. Meet them where they're at with intuitive mobile apps or mobile optimized content that is both technologically sophisticated and intuitive.
- Develop automated services: 92 percent of millennials have monthly subscription services, from razors to clothing to music to food. Automated services are straightforward to manage regardless of if it's coffee or benefits/insurance.
Delivering technology-enabled innovative tools
Securian Financial leverages a broad range of technologies to offer modern workforces innovative tools that engage with customers in more meaningful ways. For instance, our artificial intelligence insurance recommendation system assists employees in their decision-making process by providing an upfront coverage amount recommendation and base price to demystify what coverage could look like; helping them understand the value of coverage at key points in their enrollment journey.